In the current downturn of European real estate market, the sale of the bare ownership is creating a growing interest of market operators. The attention to this formula is not only local, but also comes from foreign investors, attracted by the substantial saving on the purchase price, the revaluation of the property over time, as well as the breakdown of the tax burden and the costs of management and maintenance. The aim of this research is, first of all, to deepen the knowledge of the bare ownership market of residential properties. Secondly, it is to develop an effective tool for estimating the bare ownership. Therefore, on the same database and with reference to the same explanatory variables of the price of bare ownership, two estimation models are implemented, one based on hedonic prices theory and another using artificial neural networks (ANN), in order to compare the respective performance.

The economic crisis of 2008 has highlighted the ineffectiveness of the banks in their disbursement of mortgages which caused the spread of Non-Performing Loans (NPLs) with underlying real estate. With the methods stated by the Basel III agreements, aimed at improving the capital requirements of banks and determining an adequate regulatory capital, the banks without the skills required have difficulties in applying the rigid weighting coefficients structures. The aim of the work is to identify a synthetic risk index through the participatory process, in order to support the restructuring debt operations to benefit smaller banks and small and medium-sized enterprises (SME), by analyzing the real estate credit risk. The proposed synthetic risk index aims at overcoming the complexity of Basel III methodologies through the implementation of three different multi-criteria techniques. In particular, the integration of objective financial variables with subjective expert judgments into a participatory process is not that common in the reference literature and brings its benefits for reaching more approved and shared results in the debt restructuring operations procedure. Moreover, the main findings derived by the application to a real case study have demonstrated how important it is for the credit manager to have an adequate synthetic index that could lead to the avoidance of risky scenarios where several modalities to repair the credit debt occur.

This paper experiments with some costs-benefit analyses, seeking a balance between soil-take and buildability due to land policy and management. The activities have been carried out inside the MITO lab (Lab for Multimedia Information for Territorial Objects) of the Polytechnic University of Bari. Reports have been produced about the Southern Italian Apulia Region, which is rich in farmland and coastline, often invaded by construction, with a severe loss of nature, a degradation of the soil, landscape, and ecosystem services. A methodological approach to the assessment of sustainability of urban expansion related, on one hand, to “plus values” deriving from the transformation of urban fringes and, on the other hand to the analysis of the transition of land-use, with the aim of “saving soil” against urban sprawl. The loss of natural and agricultural surfaces due to the expanding artificial lands is an unsustainable character of urban development, especially in the manner in which it was carried out in past decades. We try to assess how plus value can be considered “unearned”, and to understand if the “land value recapture” can compensate for the negative environmental effects of urban expansion. We measured the transition from farmlands and natural habitat to urbanization with the support of the use of some Geographic Information Systems (GIS) tools, in favor of a new artificial land cover in the region of Apulia, Southern Italy. Data have been collected at the regional scale and at the local level, producing information about land use change and increases of property values due to improvements, referring to the 258 municipalities of the region. Looking at the results of our measurements, we started an interpretation of the driving forces that favor the plus values due to the transition of land-use. Compensation, easements, recapture of plus value, and improvement are, nowadays in Italy, discussed as major land-policy tools for managing environmental and landscape preservation. The interplay between urban economics and environmentally sound regulations reveals some controversial issues in urban governance and nature preservation: perhaps some abstract regulations, conjoined with non-case-oriented urban policies, consider these keywords as the old chemists considered the Philosopher’s Stone. The analyses show criticality emerging themes in emblematic cases, studied in some municipal contexts.

Purpose: This paper aims to test and compare two innovative methodologies (utility additive and evolutionary polynomial regression) for mass appraisal of residential properties. The aim is to deepen their characteristics, by exploring the potentialities and the operating limits.Design/methodology/approach: With reference to the same case studies, concerning samples of residential properties recently sold in three Italian cities, the two procedures are tested and the results are compared. The first method is the utility additive, which interprets the process of the property price formation as a multi-criteria selection of multi-objective typology, where the selection criteria are the property characteristics that are decisive in the real estate market; the second method is a hybrid data-driven technique, called evolutionary polynomial regression, that uses multi-objective genetic algorithms to search those models expressions that simultaneously maximize accuracy of data and parsimony of mathematical functions.Findings: The outputs obtained from the experimentation highlight the potentialities and the limits of the two methodologies, as well as the possibility of jointly applying them to interpret and predict the real estate phenomena in a more realistic representation.Originality value: In all countries, mass appraisal techniques have become strategic for the definition of management and enhancement policies of public and private property assets, in the case of investments of technical and economic refunctionalization (energy, environment, etc.), and for the alienation of buildings no longer suitable for public needs (military barracks, hospitals, areas in disuse, etc.). In this context, the use of mass appraisal techniques for residential properties assumes a leading role for sector operators (buyers, sellers, institutions, insurance companies, banks, real estate funds, etc.). Therefore, the results of the applications outline the potentialities of the two methodologies implemented and the opportunity of further insights of the topics that have been dealt with in this research.

From the 21st century to the present(2021), a worldwide awareness that cities’ development must be based on projects for socio-economic growth and environmental protection is increasing. World governmental agencies and the European Union have suggested action strategies for the construction of «prototype cities» whose value must be founded on the inclusion and/or preservation of anthropic-natural elements and their effects on territories. In order to minimize the theoretical–practical gap between planning and project design with a view to sustainable development and the evaluation of their performance from economic, social and environmental points of view, the present contribution aims to outline a framework useful for systematizing the main scientific contributions concerning sustainability and the evaluation of urban transformation projects. The objective is pursued by analyzing bibliographic references with specific regard to the use of logical-operative methodologies used to rationalize the processes of interventions’ evaluation and selection. The task of examining the available literature is carried out with an investigation protocol of four sequential steps. From the implementation of the last one, the evidence expressing the heterogeneity of the examples in the literature is described. Accordingly, the theoretical-methodological framework for the project evaluation from an urban sustainability perspective is illustrated.

Purpose: The purpose of this paper is to propose a decision-support methodology for public and private subjects involved in the enhancement of public properties. In particular, with reference to cases in which the disused public property can be sold and the range of functions that define the highest and best use of the conversion was identified, the developed model allows for the assessment of the financial feasibility of the initiatives, in relation to the corresponding investment risks.Design/methodology/approach: The proposed model integrates the mathematical logic of goal programming for the evaluation of the financial conveniences of the parties (public and private) involved in the enhancement of a public property with statistical approaches (value at risk+exponentially weighted moving average) so as to determine the investment risk of the private investor. The application of the model to a real case study highlighted the potentialities of the proposed methodology.Findings: The model allows to determine: the optimal mix of intended uses to be realized in the public property under analysis; the fair value of the public property for the parties involved in the transaction; and the Pareto-optimal frontier of the expected profits, as a function of the risk appetite of the private investor.Practical implications: The defined model responds to the growing international interest in the enhancement of public buildings, satisfies the objectives of the substantial reduction of soil sealing and urban sustainability, stimulates the urban regeneration of deprived areas of the cities through the reactivation of large buildings that have been disused or underused for too long.Originality/value: The present research allows to provide effective evaluation tools capable of outlining the opportunities of redevelopment initiatives and examines the risk factors that often invalidate the initial forecasts of the private entrepreneur and/or stop the activation of investments.